If Synthesia causes you harm, the most you can recover is what you paid Synthesia in the past twelve months, and you cannot claim for indirect losses like lost profits or business opportunities.
This analysis describes what Synthesia's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
For customers relying on Synthesia for business-critical video production, significant service failures or data incidents may result in damages that far exceed the annual subscription fee, leaving substantial losses unrecoverable under these terms.
Interpretive note: Enforceability of the consequential damages exclusion may vary by jurisdiction, particularly in the EU and UK where statutory protections may limit the scope of such waivers.
This provision limits financial recovery from Synthesia to twelve months of fees paid, regardless of the actual harm suffered, and excludes consequential damages entirely, which may leave customers with limited recourse following serious service failures or data incidents.
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You will remain responsible for any amounts you fail to pay in connection with your subscription, including collection costs, bank overdraft fees, collection agency fees, reasonable attorneys' fees, and arbitration or court costs.
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"To the maximum extent permitted by applicable law, in no event will Synthesia's aggregate liability to you under or in connection with this Agreement exceed the total fees paid or payable by you to Synthesia in the twelve (12) month period immediately preceding the event giving rise to the claim. In no event will either party be liable to the other for any indirect, incidental, special, consequential, punitive, or exemplary damages.— Excerpt from Synthesia's Synthesia Terms of Service
REGULATORY LANDSCAPE: The limitation of liability clause engages consumer and commercial law across multiple jurisdictions. Under UK law, the Unfair Contract Terms Act 1977 and the Consumer Rights Act 2015 may restrict the enforceability of such caps in certain contexts, though this agreement targets business customers. EU law similarly contains protections that may constrain liability exclusions depending on the nature of the breach. The phrase 'to the maximum extent permitted by applicable law' acknowledges these potential limitations. GOVERNANCE EXPOSURE: Medium. The twelve-month fee cap is a standard commercial practice in SaaS agreements, but the combined effect of this cap with the broad customer indemnification obligation creates asymmetric risk: customers bear unlimited third-party liability while Synthesia's exposure to customers is capped. This asymmetry warrants scrutiny in enterprise negotiations. JURISDICTION FLAGS: In the EU and UK, certain exclusions of liability for data breaches or gross negligence may not be fully enforceable. California and other US states may apply similar limitations on liability waivers in specific contexts. Enterprise customers in regulated industries (financial services, healthcare) should assess whether the cap is adequate given their regulatory and operational dependencies on the platform. CONTRACT AND VENDOR IMPLICATIONS: Procurement teams negotiating enterprise agreements should consider requesting a higher liability cap, particularly where Synthesia is used for business-critical or revenue-generating video production. The exclusion of consequential damages should be flagged as a standard due diligence item for contracts where service disruption could cause significant downstream loss. COMPLIANCE CONSIDERATIONS: Legal teams should document their reliance on Synthesia services and assess whether business interruption or technology errors and omissions insurance can bridge the gap between actual potential loss and the contractual recovery cap.
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For customers relying on Synthesia for business-critical video production, significant service failures or data incidents may result in damages that far exceed the annual subscription fee, leaving substantial losses unrecoverable under these terms.
This provision limits financial recovery from Synthesia to twelve months of fees paid, regardless of the actual harm suffered, and excludes consequential damages entirely, which may leave customers with limited recourse following serious service failures or data incidents.
ConductAtlas has identified this type of provision across 18 platforms. See the full comparison.
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